Cost Center Basics

Before creating the cost center master record, you must consider a few configuration settings:

  • Cost center categories or types
  • Time-dependent fields
  • Profit Center Accounting (PCA) relevance

The relevance of PCA stems from the activation settings found on the controlling area. If PCA is active for your controlling area, SAP expects a profit center assignment on the cost center master record. If you attempt to save the cost center without this assignment, the system will give you a warning and as mentioned the dummy profit center will be used. Complete Profit Center Accounting configuration will be covered in detail in Chapter 13, but PCA-relevant controlling area configuration must be completed prior to adding any cost centers. ...

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